Hyundai Motor Group

Hyundai Motor Group has inaugurated production at its new electric vehicle battery plant in Bartow County, Georgia, a $5 billion joint initiative with the Korean manufacturer SK On. Although the announcement dates back to 2022 and initial expectations were for production to start last year, the plant, named Hyundai SK Battery Manufacturing America, has begun its first operational phases and plans to progressively increase activities.

This facility, covering over 300,000 square meters, represents one of the most significant economic development projects in the state, aiming to localize battery production and consolidate a complete ecosystem for electric vehicles. At full capacity, the company estimates a production capacity of 35 gigawatt-hours (GWh) per year, enough to power approximately 300,000 electric vehicles. It is also expected to create about 3,500 jobs.

The expansion comes at a time of decline in electric vehicle sales in the United States, a slowdown that has led some American manufacturers to revise their plans. Hyundai and Kia, on the other hand, are staying the course, with EV operations firmly rooted in Georgia. The new plant will supply batteries to Metaplant America, located near Savannah, where the Hyundai Ioniq 5 and Ioniq 9 are assembled. In parallel, Kia is producing the EV6 and EV9 models at its West Point plant.

The partnership with SK On is not Hyundai's only investment in the battery sector in Georgia. The company also has a second equal joint venture, HL-GA Battery Company, also in Bartow County, with LG Energy Solution. This $4.3 billion project aims for a production capacity of 30 GWh, also meant to support an additional 300,000 electric vehicles. The facility with LG Energy Solution, opened in April, faced delays last year due to an immigration operation that caused significant controversy.

Georgia is becoming a strategic hub for the EV industry in the USA. Rivian also plans to build a major multimillion-dollar plant in the state. This will complement the current R2 production at the Normal, Illinois plant and is aimed at increasing R2 capacity, alongside housing the production of the R3 and 50,000 robotaxis in partnership with Uber.

The consolidation of the local supply chain aims to strengthen Hyundai's position in the U.S. electric vehicle market. In the first half of 2026, Hyundai sold 26,936 fully electric models in the United States, ranking as the third best-selling brand after Tesla and Chevrolet. Despite a 5.4% decline compared to the same period the previous year, mainly due to the exit of the standard Ioniq 6, the Ioniq 5 ranked as the third best-selling electric vehicle in America, and sales of the three-row Ioniq 9 grew by 380%.

With billions invested to expand its production chain in the United States, Hyundai aims to pass savings onto consumers. The 2026 Hyundai Ioniq 5, for example, starts at just $35,000, making it one of the most accessible electric vehicles on the market. The company has also launched aggressive summer promotions including discounts of up to $10,000 on electric vehicles. The strategy is very clear: leverage local production to reduce costs and stimulate demand.